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Radius Residential Care (NZSE:RAD) Net-Net Working Capital : NZ$-0.90 (As of Mar. 2024)


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What is Radius Residential Care Net-Net Working Capital?

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full. In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. This is a conservative way of estimating the company's value.

Radius Residential Care's Net-Net Working Capital for the quarter that ended in Mar. 2024 was NZ$-0.90.

The industry rank for Radius Residential Care's Net-Net Working Capital or its related term are showing as below:

NZSE:RAD's Price-to-Net-Net-Working-Capital is not ranked *
in the Healthcare Providers & Services industry.
Industry Median: 7.2
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Radius Residential Care Net-Net Working Capital Historical Data

The historical data trend for Radius Residential Care's Net-Net Working Capital can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Radius Residential Care Net-Net Working Capital Chart

Radius Residential Care Annual Data
Trend Mar20 Mar21 Mar22 Mar23 Mar24
Net-Net Working Capital
-1.40 -1.37 -0.78 -0.96 -0.90

Radius Residential Care Semi-Annual Data
Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24
Net-Net Working Capital Get a 7-Day Free Trial -0.78 -0.93 -0.96 -0.94 -0.90

Competitive Comparison of Radius Residential Care's Net-Net Working Capital

For the Medical Care Facilities subindustry, Radius Residential Care's Price-to-Net-Net-Working-Capital, along with its competitors' market caps and Price-to-Net-Net-Working-Capital data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Radius Residential Care's Price-to-Net-Net-Working-Capital Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Radius Residential Care's Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Radius Residential Care's Price-to-Net-Net-Working-Capital falls into.



Radius Residential Care Net-Net Working Capital Calculation

Radius Residential Care's Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Mar. 2024 is calculated as

Net-Net Working Capital(A: Mar. 2024 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(2.35+0.75 * 15.002+0.5 * 0.554-270.281
-0-0)/284.877
=-0.90

Radius Residential Care's Net-Net Working Capital (NNWC) per share for the quarter that ended in Mar. 2024 is calculated as

Net-Net Working Capital(Q: Mar. 2024 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(2.35+0.75 * 15.002+0.5 * 0.554-270.281
-0-0)/284.877
=-0.90

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full.

In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. In "Security Analysis", preferred stock is dubbed "an imperfect creditorship position" that is best placed on the balance sheet alongside funded debt.

This is a conservative way of estimating the company's value.


Radius Residential Care  (NZSE:RAD) Net-Net Working Capital Explanation

One research study, covering the years 1970 through 1983 showed that portfolios picked at the beginning of each year, and held for one year, returned 29.4 percent, on average, over the 13-year period, compared to 11.5 percent for the S&P 500 Index. Other studies of Graham's strategy produced similar results.

Benjamin Graham looked for companies whose market values were less than two-thirds of their net-net value. They are collected under our Net-Net screener.


Radius Residential Care Net-Net Working Capital Related Terms

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Radius Residential Care (NZSE:RAD) Business Description

Traded in Other Exchanges
N/A
Address
56 Parnell Road, Level 4, Parnell, Auckland, NTL, NZL, 1052
Radius Residential Care Ltd is a health and aged care provider for elderly and disabled people. The company provides residential care, hospital care, dementia care, respite care, and palliative care. The Company operates in one operating segment being the provision of aged care in New Zealand. Also, the company provides Young Disabled Care services, for those under 65 who require assistance with self-care, mobility and/or communication.

Radius Residential Care (NZSE:RAD) Headlines

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